Damodar Valley Corporation (DVC) is likely to hold a minority 49 per cent stake in Maithon Power Ltd (MPL) with Tata Power Ltd (TPL) being handed over the majority as directed by the central power ministry to which the issue was recently referred. | |
| Having failed to take a decision on its own, the issue was recently referred to the power ministry by the DVC board, and sources close to the development said that the ministry is likely to advise it on holding 49 per cent in MPL. |
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| A K Basu, secretary, DVC, while talking to Business Standard said the board had referred the issue to the ministry which is likely to take a decision soon. "Following a direction from the Centre, the public sector power major would convene a board meeting and finalise the issue," he added. |
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| Both TPL and DVC are bent on holding majority in MPL which resulted in the delay and possibility of the venture failing. The board of director of DVC which met sometime back to take a call on the issue failed to come to a decision in favour of holding a smaller share in MPL. Subsequently, it was referred to the ministry by DVC to take a decision on the issue and DVC would go by whatever direction the ministry takes. |
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| Tata Power is keen on participating in the project and there has also been considerable progress on the 1000 mw, Rs 4,000 crore Maithon Right Bank power project. |
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| Tata Power has also gone to the extent of asking for three coal block with 300 million tonne of reserves from the coal ministry in Jharkhand. The allotment of block has been cleared by the Central Electricity Authority (CEA), the state government and the ministry of power. Clearance from ministry of coal is pending. Coal from the blocks would be used for captive consumption in the Maithon power plant as well as its Jojobera plant. |
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